Worthington Industries, Inc. (NYSE:WOR)
A metal processing company, focused on steel processing and manufactured metal products, such as metal framing, pressure cylinders, automotive past-model service stampings, through joint ventures, metal ceiling grid systems and laser-welded blanks.
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Recs
WOR is undervalued. It pays a good dividend, and has a profit margin. It is only $4 above its 52 wk low.
Recs
WOR has a pension fund that is underfunded by about $1 Billion dollars and they only avg about 100M and 165M in cash flow in during boom years. So the $1B underfunded pension (using WOR aggressive accounting -the real underfunding could be much higher).
Even if the stock market does 8% a year for the next 10 years the pension underfunding will remain at $1B.
the pension issue could take away most of their profits for the next decade unless the market recovers.
Further the steel industry will remain under severe pressure for the next 18 months or longer so at 14x forward earnings WOR looks expensive.
Recs
I work for Worthington in the Cylinder division and although we are automating processes, the management is very poor and does not listen to their employees ideas. Unless you are in the maintenence dept or a manager, your voice means little to nothing. It's an old boy school atmosphere where they challenge their employees but more importantly, don't challenge or change their managers. Our quality is getting bad because of the automation and the employees being ignored for years.They have an elitism type attitude that comes down from the top. Managers are chosen within the ranks from "yes men". I can think of only one who has a college degree. Our opportunity for improvement box, clearly out there for everyone to see is spelled oppurtunity. Go in and check it out..... They don't even have the guts to drug test the managers. Need I say more??????
Recs
It may take a while for steel to turnaround, but with their dividend (5.9% as of this writing - $11.45/share) I don't think this will go much lower
Recs
Steel is falling in value, and WOR has a struggling division of metal framing - Too much capacity, overhead, facilities. Also - construction is not going to recover any time soon.
Recs
Steel industry concerns have reduced price, but that seems to be the only reason for low price. Other fundamentals seem solid.
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From my understanding worthington is under new management and is turning the company back to profitable days. Looks promising by these businessmen.
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I think the US will be getting back into manufacturing here and certrainly we will be having to shore up and rebuild infrastructure.
Recs
It is a good stock to buy.
Recs
great company but commodity market is in a freefall in world wide panic.
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Exceptional leadership.
Recs
You can make a living on trading this stock between $16 and $23. Great company whose price gets whipsawed by inventory valuations driven by commodity pricing. Consistent dividend payer. Global consolidation of the steel industry keeps WOR a consistent M&A candidate.
Recs
When the automakers recover, WOR will go along with the masses
Recs
Stock sold off recently and now is selling for less than 10 times earnings with roughly a 4% dividend yield. The low on the stock has been $16 ish over the last year. Company manufactures products used in a lot of infrastructure. The global economy may be slowing down, but it is not stopping. Places like China and India will most likely see better than average economic growth and expansion which should be good news for companies like WOR.
I would expect $4 - $6 of upside plus dividends in over the next 1-2 years.
Recs
Metal sector turnog around
Recs
First, Worthington is a great stock and a good company. It would be on my short list of stocks to buy in a DRIP. But this stock will be available for under $15 before 2008 is through--maybe under $12. Buy it then and ride it back up the hill with confidence.
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